Higher expenses hurt Marten

Mondovi, WI-based Marten said revenue dropped to $68 million in the first quarter of 2002, down from $70 million in the same quarter last year. Net income dropped to $689,000, compared to over $1.64 million in the first quarter of 2001.

Chairman & president Randolph L. Marten said a combination of higher operating costs – including insurance – and pressure on freight rates pushed earnings down.

"The pressure on rates has grown more intense over the past year, reflecting a swing in shipping capacity nationally from a shortage to over-capacity," he said. "At the same time, operating expenses have continued to rise. Our insurance and claims expense increased to 5.1% of revenue in the first quarter from 2.6% over the same period last year."